Can A Real Proof of Funds Be Borrowed or Leased?

Why Use the Term “Real Proof of Funds”?

The requirement for real proof of funds has been around for a long time. It is simply a bank, custody, or security document issued on behalf of a client for a given transaction. It shows the party or individual is ready and capable to perform a financial transaction with legitimate funds.

Finding Real Proof of Funds Gets More Difficult With Advanced Technology

As most people know financial crimes go hand in hand with forged financial documents. Known crimes include fabricated financial statements, falsified banking documents, and fraudulently misrepresenting funds available in bank, escrow and trust accounts.

Editing Software Make it Harder to Find Real Proof of Funds

With the proliferation of editing software and the internet access to information financial crimes have only increased. People have probably heard their share of stories of loan officers and borrowers modifying financial documents trying to pass them off as a real proof of funds. They usually get caught.

Bankers, Escrow and Attorneys Falsifying Real Proof of Funds

Not only can people fraudulently modify a bank statement or verification of deposit required for a proof of funds, but they can also falsely create a bank account with no actual cash assets available needed to supply a legitimate and real proof of funds.

Yes, the proof of funds service industry has been tainted with cheap and easy proof of funds accounts that do not actually have any money in them. The bankers, escrow agents, and attorneys themselves are often the perpetrators if not an accomplice to the crimes.

Can A Real Proof of Funds Be Borrowed? Or Is That A Scam?

Yes, a real proof of funds can be borrowed or leased, and no they do not have to be a scam just because they are leased. Our asset holders provide authentic borrowed funds from legitimate and verifiable cash accounts established and arranged in your name for the purpose of legally transacting a proof of funds for your deals.

How does one tell the difference between the scams and real proof of funds?

There are many items a party should endeavor prior to pledging their trust to a real proof of funds service provider.

First, if the cost to access the borrowed funds is ridiculously low, it is probably too good to be valid. For instance, if you need $10,000,000 placed in a cash collateral account for your company to complete a loan underwriting but the service costs less than a point you are likely seeing your first red flag for fraud.

Investors want to make money on their money, and moving money around, especially in the millions is not an inexpensive effort. Additionally, if the money is in your account being used for your transaction, it no longer can be used for the asset holder’s purposes, nor will they be able to accrue bank interest on their funds. You can bet an investor is going to charge at least 1 point, and sometimes 2 to 4 points for the use of their legitimate money.

Second, is there transparency as to who the proof of funds service provider and asset holder are? Or, are you getting brokers telling you the asset holder remains total anonymity and will not disclose to you in writing who you are dealing with? This is another red flag. It is likely the “investor” is not an investor at all and is setting up fraudulent accounts with the aid of well paid inside bankers; they will not provide any real proof of funds service. This means, when it comes time to verify your account the third party will notice something is wrong and your deal will fall apart or worse, you will be held responsible for financial fraud.

Third, is the only way to verify the account by calling or faxing the number to a specific banker assigned to the account? If the account can only be verified by phone number, not that of the branch, and only by one specific banker, you are probably not getting a real proof of funds.

This is because the banker may be the only one or two people within the branch that actually knows about the proof of funds account they set up for you. Not only is it unlikely no real cash funds deposited in the account, the account may not even exist! This is why they would only allow the insider banker(s) assigned to you to give a falsified verification to another party. This can happen at big banks, small banks, credit unions, escrow companies, hedge funds, security brokerages, etc.

Fourth, a real proof of funds service will allow you to do an electronic verification of a prime bank account. If the service cannot accommodate electronic inquiry of the account through an interbank messaging service like SWIFT or other systems you are likely looking at another red flag.

Fifth, are you allowed to visit a branch of the financial institution and inquire for a balance of the account in person with all the necessary documentation required to do so? If you were to inquire in person for a balance confirmation and the account were fraudulent it is likely the banking representative would tell you the account either doesn’t exist, or the balance is $100 or less, minimum amount required to open accounts. This, again is not a real proof of funds account.

Sixth, is the format of the bank statement, tear sheet, bank letter, escrow letter, etc purporting to be issued by a real proof of funds service not in the normal format the financial institution would use for such documents? Does it contain verbiage not normal to documents for the same purpose? If so, you may have uncovered yet another red flag for banking fraud.

Seventh, does the service provider require you move your money to an offshore escrow or bank account? Unless everything else is checking out and you have been able to confirm the nature of the company, never move your money overseas. If the party is fraudulent and they take your money, it is near impossible to recover it! Only a real proof of funds company would accommodate your concerns and not require you to send your money off-shores.

Real Proof of Funds Available Here

Notwithstanding all of these signs of fraud against real proof of funds services, there still are legitimately operated and funded cash accounts used for clients needing to borrow funds.

While most proof of funds services online are brokered by people trying to make quick money preying on your ignorance, if you look for reputable companies that have been in the industry for at least three years your chances increase for success.

Look for real proof of funds companies that are straight forward and honest with their answers when you inquire about their services. Stay away from parties that use hype, emotional sales, pressure, and claims that cannot be substantiated.

If you find you are dealing with a personality that gets defensive, difficult, or goes into avoidance when asked direct questions about their service you are probably dealing with someone that will not protect your money, nor provide a real proof of funds service that will close your deal.

Proceed to Proof of Funds Procedures

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